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Compliance-as-a-Service: Why Building Your Own Compliance Solution Could Be a Strategic Misstep

Posted on June 10, 2025

In an industry shaped by speed, trust, and evolving regulations, compliance has evolved from a back-office necessity into a competitive edge. For growing SaaS platforms—particularly in fintech, proptech, payroll, HR, and digital lending—compliance is no longer optional. It’s mission-critical.

Yet one question continues to challenge software leaders:

Should we build our own compliance infrastructure—or partner with a specialist provider?

While building internally may offer the illusion of control and flexibility, the reality is often far more complex, costly, and risky. That’s why more companies are turning to a smarter alternative: compliance as a service.

The High Cost of DIY Compliance Infrastructure

Building your own KYC, KYB, AML, identity verification, and transaction monitoring systems sounds like a logical step—until you try. Compliance infrastructure isn’t just a product feature; it’s an entire ecosystem of tools, processes, legal frameworks, and audits.

Here’s what DIY compliance really requires:

  • Deep regulatory knowledge across multiple jurisdictions
  • Engineering bandwidth to build, test, and maintain systems
  • Ongoing certifications like SOC 2, PCI DSS, FINTRAC, and GDPR
  • Constant monitoring for fraud, risk, and suspicious behaviour
  • Cross-functional coordination between legal, product, engineering, and operations

At that point, you're not just building a compliance feature. You're effectively becoming a regtech company inside your SaaS business.

Table comparing building vs buying compliance infrastructure: highlights VoPay’s CaaS benefits like lower cost, faster onboarding, and shared liability

Build vs Buy: Why Compliance as a Service Wins

For software companies focused on growth and product innovation, building in-house compliance often becomes a bottleneck. Delays, rising costs, and exposure to regulatory risk quickly follow.

That’s where compliance as a service (CaaS) offers a clear advantage.

Platforms like VoPay provide turnkey compliance infrastructure, delivered via API or a secure online portal. These solutions reduce onboarding times, eliminate compliance guesswork, and ensure you remain aligned with global and regional regulatory standards.

Here’s how outsourcing compliance helps SaaS platforms scale faster, with less risk.

Faster Time to Market

Compliance is often the biggest bottleneck when launching new markets or onboarding new clients. Every legal review, integration point, and manual verification step adds friction to your customer journey.

With a solution like VoPay, you get:

  • Automated KYC and KYB workflows
  • White-label onboarding experiences
  • Same-day account activation capabilities

This reduces onboarding time by up to 60%, helping SaaS platforms activate users in hours, not months. That’s a major competitive advantage in crowded markets.

Built-In Security and Regulatory Alignment

Compliance is not static. As regulations evolve, your platform needs to adapt, without starting from scratch each time. That’s nearly impossible to do manually at scale.

VoPay’s CaaS platform helps you stay aligned with global and national regulations like:

  • SOC 1 / SOC 2
  • PCI DSS
  • GDPR
  • FINTRAC (Canada)
  • Payments Canada policies

And offers critical safeguards such as:

  • Encrypted identity verification
  • Real-time sanctions screening
  • Ongoing AML monitoring
  • Audit-ready reporting
  • Fraud detection and flagging

By building compliance into your workflows, you ensure your platform is compliant by design, not by exception.

“Security and compliance are no longer just IT problems—they’re business growth enablers.”
— Deloitte, 2024 Financial Services Compliance Outlook

Scalable, Future-Proof Infrastructure

Compliance needs don’t stay static. As your platform expands into new geographies or customer segments, your infrastructure must scale with you.

VoPay’s CaaS architecture is designed to grow alongside your platform. That means:

  • Seamless support for multi-stakeholders onboarding (e.g., landlords, tenants, borrowers, contractors)
  • Dynamic workflows that adapt to regulatory changes
  • Real-time monitoring of high-risk activity or suspicious behaviour

Whether you're entering new markets or supporting complex user journeys, outsourced compliance gives you the flexibility to move fast, without falling behind on the legal side.

Reduced Risk Exposure and Operational Burden

When you own compliance internally, you also own the liability. And compliance mistakes are costly—think regulatory penalties, legal action, reputational damage, or lost business.

A trusted CaaS provider like VoPay helps mitigate that risk through:

  • Proven, audit-tested protocols
  • Built-in compliance workflows
  • 24/7 transaction monitoring and support
  • Continuous platform updates and certifications

Your internal teams no longer need to spend time chasing regulation updates or fixing compliance bugs. They can stay focused on innovation and customer value.

Lower Total Cost of Ownership (TCO)

Building compliance infrastructure isn’t just expensive upfront—it’s a long-term drain on time and capital. Between legal consulting, software development, testing, maintenance, and compliance audits, your costs can exceed $1 million annually.

With compliance as a service, you gain:

  • Predictable pricing
  • No upfront build costs
  • Reduced legal exposure
  • Lower risk of regulatory fines
  • Zero need for internal compliance headcount

In other words, you're buying peace of mind—and reallocating your resources toward product growth and customer experience.

“Platforms that integrate compliance infrastructure early outperform peers in speed, cost control, and trust.”  — BCG, The Digital Fintech Operating Model, 2023

Quote from Andreessen Horowitz: Building compliance in-house is a tax on innovation and creates long-term operational debt for most platforms

Real-World Results: Scalable Onboarding Without Compromise

A leading proptech platform integrated VoPay’s compliance and onboarding engine and saw immediate impact:

  • 200% increase in monthly onboarding volume
  • Zero compliance violations across multiple audits
  • 40+ hours saved per month in manual operations

This is the power of outsourced compliance. You get speed, security, and scale—without compromising on trust or control.

Conclusion

Building your own compliance infrastructure might seem like a way to gain control, but it often leads to delays, higher costs, and increased risk. For SaaS platforms that want to move quickly and scale securely, Compliance-as-a-Service offers a smarter, more strategic path.

By partnering with a proven provider like VoPay, you gain access to a robust, scalable compliance platform—so your team can focus on what matters most: building innovative products and delivering exceptional customer experiences.

In today’s fast-paced and regulated environment, outsourcing compliance is not just a convenience—it’s a competitive advantage.

Schedule a consultation today!

Frequently Asked Questions (FAQ)

What is compliance as a service?

Compliance as a service (CaaS) refers to outsourced solutions that help businesses meet regulatory and security requirements, such as KYC, AML, data privacy, and financial compliance, via APIs or online tools.

Who needs compliance as a service?

Any SaaS platform handling sensitive data, payments, or identity verification—especially in fintech, proptech, payroll, or HR—can benefit from CaaS.

Is it better to build or buy compliance infrastructure?

Buying from a trusted CaaS provider is typically faster, safer, and more cost-effective than building in-house, especially for scaling platforms.

What does VoPay offer in terms of compliance?

VoPay provides turnkey onboarding, KYC/KYB, AML screening, and transaction monitoring tools that help SaaS platforms stay compliant while scaling securely.

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